"Can Doing Good Reduce Risk? Corporate Social Responsibility and Risk f" by Emily Iehl

Article Title

Can Doing Good Reduce Risk? Corporate Social Responsibility and Risk for Firms in Controversial Industries

Authors

Emily Iehl, University of Northern IowaFollow

Document Type

Article

Abstract

A firm’s main goal is to add firm value. There are many ways to do this: increase sales, advertise, change management, and, possibly, doing good for the environment, employees, and others. The latter approach is often called corporate social responsibility. This paper tests to see if corporate social responsibility will reduce risk for a firm. There are two hypotheses created by Jo and Na (2012): the risk reduction hypothesis and the window-dressing hypothesis. Jo and Na conclude that corporate social responsibility in controversial firms can help reduce firm risk. However, my results do not show that.

Publication Date

Spring 2020

Journal Title

Major Themes in Economics

Volume

Issue

First Page

Last Page

Copyright

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial-No Derivative Works 4.0 International License.

Language

File Format

application/pdf

Recommended Citation

Iehl, Emily (2020) "Can Doing Good Reduce Risk? Corporate Social Responsibility and Risk for Firms in Controversial Industries," Major Themes in Economics, 22, 1-14.
Available at: https://scholarworks.uni.edu/mtie/vol22/iss1/3